FX.co ★ Technical analysis of Gold for July 04, 2014

Technical outlook and chart setups:

1. Gold has probably resumed its pullback/retracement towards $1,290.00/80.00 levels yesterday. It looks like the metal has formed an intermediary top around $1,330.00 mark and next move is lower. Recommendations are to remain short for now, while risk remains above $1,340.00 to be on the safer side.

2. Support is seen at $1,280.00 (fibonacci), followed by $1,260.00, $1,240.00, $1,230, $1,210.00 and lower while resistance is seen at $1,350.00/60.00, followed by $1,388.00 and higher up respectively.

3. The structure indicates that Gold retracement is on for now, targeting $1,280.00 levels at least.

Trading recommendations:

In the short and medium term, go short, stop at $1,340.00, target is at $1,280.00/90.00.

Good luck!